Concentrix (NASDAQ:CNXC) Shares Down 9% Following Insider Selling

Key Points

• Concentrix's stock price fell 9% following the sale of 500 shares by EVP Cormac J. Twomey, which triggered a significant decline in trading volume.
• Analysts have mixed views on Concentrix, with Bank of America lowering its price target from $65.00 to $61.00, while Robert W. Baird raised its target from $62.00 to $72.00.
• The company recently announced a quarterly dividend of $0.3328, with a payout ratio of 36.54%, which is set to be paid on August 5th.

Concentrix Corporation (NASDAQ:CNXC - Get Free Report) shares were down 9% on Friday after an insider sold shares in the company. The company traded as low as $47.22 and last traded at $47.31. Approximately 319,154 shares were traded during trading, a decline of 60% from the average daily volume of 807,082 shares. The stock had previously closed at $51.97.

Specifically, EVP Cormac J. Twomey sold 500 shares of the stock in a transaction dated Wednesday, July 30th. The shares were sold at an average price of $57.91, for a total transaction of $28,955.00. Following the sale, the executive vice president directly owned 37,130 shares in the company, valued at $2,150,198.30. This represents a 1.33% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the stock. Barrington Research reiterated an "outperform" rating and set a $54.00 price objective on shares of Concentrix in a research note on Tuesday, June 24th. Wall Street Zen cut shares of Concentrix from a "buy" rating to a "hold" rating in a report on Saturday, June 21st. Bank of America dropped their price objective on shares of Concentrix from $65.00 to $61.00 and set a "neutral" rating for the company in a report on Friday, June 27th. Robert W. Baird raised their price target on shares of Concentrix from $62.00 to $72.00 and gave the stock an "outperform" rating in a report on Thursday, June 26th. Finally, Canaccord Genuity Group restated a "buy" rating and set a $80.00 price target on shares of Concentrix in a report on Monday, June 30th. Two research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $66.75.

Concentrix Price Performance

The business's 50-day moving average price is $56.04 and its 200 day moving average price is $51.81. The company has a quick ratio of 1.61, a current ratio of 1.61 and a debt-to-equity ratio of 1.14. The company has a market capitalization of $2.94 billion, a P/E ratio of 12.83, a price-to-earnings-growth ratio of 0.62 and a beta of 0.53.

Concentrix (NASDAQ:CNXC - Get Free Report) last announced its earnings results on Thursday, June 26th. The company reported $2.70 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.76 by ($0.06). Concentrix had a net margin of 2.54% and a return on equity of 16.31%. The company had revenue of $2.42 billion for the quarter, compared to the consensus estimate of $2.38 billion. During the same quarter in the previous year, the firm earned $2.69 earnings per share. The company's revenue for the quarter was up 1.5% compared to the same quarter last year. Analysts anticipate that Concentrix Corporation will post 10.11 EPS for the current fiscal year.

Concentrix Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 5th. Investors of record on Friday, July 25th will be paid a $0.3328 dividend. This represents a $1.33 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Friday, July 25th. Concentrix's payout ratio is presently 36.54%.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Envestnet Asset Management Inc. boosted its holdings in shares of Concentrix by 7.9% during the 1st quarter. Envestnet Asset Management Inc. now owns 165,581 shares of the company's stock valued at $9,213,000 after buying an additional 12,162 shares in the last quarter. GAMMA Investing LLC boosted its stake in Concentrix by 761.3% in the 1st quarter. GAMMA Investing LLC now owns 2,446 shares of the company's stock worth $136,000 after purchasing an additional 2,162 shares in the last quarter. BNP Paribas Financial Markets bought a new position in Concentrix in the 4th quarter worth about $294,000. Fifth Third Bancorp boosted its stake in Concentrix by 36.5% in the 1st quarter. Fifth Third Bancorp now owns 2,051 shares of the company's stock worth $114,000 after purchasing an additional 548 shares in the last quarter. Finally, American Century Companies Inc. bought a new position in Concentrix in the 4th quarter worth about $539,000. 90.34% of the stock is owned by hedge funds and other institutional investors.

About Concentrix

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications.